HRM624 Assignment No. 2 solution
Wednesday, May 12, 2010 Posted In HRM Edit This“Nature of Conflicts”
Company ABC wants to purchase a piece of land to erect new production plant. Officers
approach the owner of the desired plot. That party was fraudulent. Officers don’t know about
the reputation and have deal with them. Seller party ask them to pay half money in advance, and
in return they will give a stamp paper on which they will give receiving of the said amount and
half of the money will be due on the day of transfer. After some days, officers of company ABC
come to know that said is already sold to another party and they are going to transfer in few
days. The other purchase party is on the right because they have given advance money to sellers
before Company ABC. So due to back date effect, legally company ABC has no claim on plot
or that second purchaser party. But they have the right to sue seller in the court. Now a
complicated conflict has arises.
Now there are so many constraints and considerations in the way to resolve this conflict.
• Litigation process is time taking
• Company resources will going to waste on resolution
• Said plot was the ideal location for the plant and they going to lose it
• Recovery of money is not easy especially from fraudulent people
• Time constraints
• Legal position is not good
• Seller intentions are not good
• Courts proceedings are complex and complicated
• More money is required to get out of it
What will you suggest in this situation, which of the following is the most appropriate way to
get out of this situation while considering all the above mentioned issues and why?
a) Negotiation
b) Meditation
c) Conciliation
d) Arbitration
e) Adjudication
Mediation, a form of alternative dispute resolution (ADR) or "appropriate dispute resolution", is a way of resolving disputes between two parties. A third party member is involved in order to structure the meetings, and to help the parties come to a final decision based on the facts given through the discussions. Mediation is not legally binding so it does not have to be followed, although if one party does not, they can sometimes be taken to court by the disadvantaged member, depending on the mediation agreement.
Mediation, in a broad sense, consists of a cognitive process of reconciling mutually interdependent, opposed terms as what one could loosely call "an interpretation" or "an understanding of." The German philosopher Hegel uses the term "dialectical unity" to designate such thought-processes. This article discusses the legal communications usage of the term.
Arbitration, a form of alternative dispute resolution (ADR), is a legal technique for the resolution of disputes outside the courts, wherein the parties to a dispute refer it to one or more persons (the "arbitrators", "arbiters" or "arbitral tribunal"), by whose decision (the "award") they agree to be bound. It is a settlement technique in which a third party reviews the case and imposes a decision that is legally binding for both sides.[1] Other forms of ADR include mediation[2] (a form of settlement negotiation facilitated by a neutral third party) and non-binding resolution by experts. Arbitration is most commonly used for the resolution of commercial disputes, particularly in the context of international commercial transactions. The use of arbitration is far more controversial in consumer and employment matters, where arbitration is not voluntary but is instead imposed on consumers or employees through fine-print contracts, denying individuals their right to access the courts.
Other Means of Resolving Conflict:
If the ABC Company uses the other means to resolve this problem, then they are time taken, money consuming and also possible that the result is not according to the wish of the both buyer parties. Mediation, conciliation, arbitration also have long processes and there is also possibility of creating misperception if the mediator or conciliator is not trained. In these processes the company also has to pay the fee of the agents. Adjudication is expensive and time consuming.
Most of the time the result, in adjudication is least acceptable or in favor of the both parties. In this way they can not talk face to face. By these means, ABC company may lose the place that he don’t want lose because it is the best location for its production plant. And if the seller party don’t want to sell that place to the company and also don’t want to pay back the money then it will try to pull the process.
Negotiation:
If company ABC is going for negotiation with the both parties, the seller and the other buyer of that land, there are many chances that the Company ABC would be reach at the best solution of this problem that will in favor of Company ABC and also acceptable for the both of other parties without wasting its resources. It is relatively less expensive and has no longer process. In this way the two buyer parties can negotiate at this problem and try to find the better solution of this problem , after that both the parties should go for negotiation to the third seller party. And they can put pressure on the seller party to agree at the better solution of this problem through the healthy negotiation.
So Negotiation is the suitable solving the dispute outside the court. By using this form of resolving the dispute all the parties can save their money and protect themselves from the lengthy procedure as well as they get the desirable result. It means there can create win-win situation by using this technique.
Negotiation because the Company ABC wants to save its
money and time and the company also don’t want to lost that ideal location for their production plant. And the aim of the seller is not good that’s why it is important to influence him at the better solution for this problem by strong negotiation. Any mistake of company ABC can make worse this problem and the recovery of the money will be difficult or impossible. As we know that Negotiation is a discussion among the two or more people with the goal of reaching an agreement. Broadly speaking negotiation is an interaction of
influences. Such interactions, for example include the process of resolving dispute, agreeing upon course of action, bargaining for individual or collective advantage.
Adjudication is expensive and time consuming.
negotiate at this problem and try to find the better solution of this problem, after that both the parties should go for negotiation to the third seller party. And they can put pressure on the seller party to agree at the better solution of this problem through the strong negotiation.